On October 15, HD Korea Shipbuilding & Offshore Engineering (KSOE), part of HD Hyundai Group, announced a contract with Cido Shipping for two very large liquid ammonia carriers (VLACs) worth approximately $250 million. This order is part of a larger spree by Cido Shipping, a Korean-owned company based in Hong Kong, which has recently ordered a total of 40 new ships valued at nearly $3 billion.
In recent months, Cido Shipping has placed orders for various ship types from both Chinese and Korean shipyards, including Suezmax tankers, LR2 tankers, MR product tankers, car carriers, and liquid ammonia tankers. Notably, the company is expanding into new markets with the recent addition of Suezmax and LR2 tankers.
Cido has secured deals for 22 ships from two Chinese shipyards, including:
- 12 LNG dual-fuel car carriers, costing about $90 million each, with a total order value of $1.08 billion, from China Merchants Heavy Industry (Jiangsu). These carriers, the first Cido has ordered in nearly 20 years, are scheduled for delivery between 2027 and 2030.
- 10 LR2 tankers from Shanhaiguan Shipbuilding Industry Co., Ltd. (SHGSIC), with a cost between $55 million and $58.5 million per ship, totaling up to $585 million, to be delivered by 2028.
Additionally, Cido has signed contracts for 18 ships from HD Hyundai’s shipyards, including:
- Two VLACs at $125 million each, with a total value of $250 million, to be delivered by September 2027.
- Four Suezmax tankers at approximately $91 million each, totaling $364 million, expected in 2027.
- Four LR2 tankers and eight MR product tankers from HD Hyundai Vietnam Shipbuilding. The LR2s cost around $70 million each, with a total value of $280 million, and the MR product tankers cost $47 million each, totaling $376 million. Deliveries are expected between 2027 and 2028.
In 2023, Cido returned to Chinese shipyards after a 15-year hiatus, placing additional orders for 12 bulk carriers from Jiangsu New Hantong Ship Heavy Industry Co., Ltd. and New Dayang Shipyard.
According to Clarksons data, Cido currently operates a fleet of 72 ships, including 37 car carriers, many of which are over 20 years old. This has prompted the company to modernize its fleet with these new orders.